Alan Joyce’s ‘high-risk strategy’ could see Qantas land ‘bargain-basement’ fleet of Boeing 737 MAXs

Press/Media: Expert Comment


Qantas boss Alan Joyce is flying high, having turned around his airline’s fortunes over the past few years.

Now, Australia’s highest-paid chief executive has hinted that Qantas could help lift Boeing by buying a fleet of its scandal-plagued 737 MAX planes – but only if the price is right.

Regulators have kept the 737 MAX planes grounded for nearly a year – despite Boeing’s attempts to rush their return to the air – following two fatal crashes that killed 346 people in Indonesia and Ethiopia.

Boeing infamously tried to blame pilot error for the crashes, before a hidden software flaw was found to be responsible.

But Mr Joyce was undeterred by the 737 MAX’s poor track record, revealing that Qantas is considering replacing its ageing fleet of older Boeing 737s with bargain-priced 737 MAXs.

“Qantas itself will put the [MAX] aircraft through its own lens to make sure we’re comfortable with it,” Mr Joyce told Nine newspapers on Monday.

If you look at it from an opportunity point of view, given the aircraft is going to be very safe, what will Boeing do to get the safest airline in the world to buy the aircraft?’’

At first glance it may seem an odd move for the “safest airline in the world” to announce its interest in one of the most deadly passenger planes of recent times.

But aviation experts told The New Daily the comments prove Mr Joyce to be a “shrewd” negotiator and master media manipulator.

The Irishman is “very adept at getting publicity” and keeping the Qantas name “in the public eye, even if nothing much is happening”, Monash University aviation expert and co-author of Up in the Air Greg Bamber said.

“It’s a clever strategy,” Dr Bamber said.
































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































"Come out with something controversial like the 737 MAX that most people in the industry don’t want to touch with a bargepole.’’
































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































Mr Joyce’s comments could also help fuel a price war between Boeing and competitor Airbus, to Qantas’s benefit.

“It’s a good negotiating strategy. They can try to get Airbus to offer the A320neo at a cut price or they’ll go to Boeing,” Dr Bamber said.
































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































"Airbus have a big order book, but Boeing orders have been evaporating."
































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































“Boeing might well be inclined to offer a bargain-basement price.”

For Qantas, one upside of replacing its “workhorse” domestic fleet of older Boeing 737s with 737 MAXs would be that minimal pilot retraining would be required.

However, going with Boeing over Airbus would be a “high-risk strategy” with the potential to tarnish Qantas’s reputation if further issues with the planes emerge, Dr Bamber said.

“Qantas does have a good reputation for safety, but it’s very easy to lose such a reputation quickly,” he said.

“But the flying public generally have short memories. The major criterion for buying tickets is price and convenience.”

Winning the endorsement of Qantas, or any other major airline, would be a “feather in the cap of Boeing”, Dr Bamber said.

“A lot of the airlines are shying away from the 737 MAX at the moment – they’ve pushed back or stalled orders,” he said.

However, Dr Bamber warned that the 737 MAX is “a flawed aircraft” that “at this point, looks like a lemon”.

“We’re still waiting to see how it will be fixed up,” he said.
































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































"There will be some resistance from airlines, pilots, and passengers. They will all be rather sceptical of it for a while, at least until it’s been proven.’’
































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































Airline expert and Point Hacks managing editor Daniel Sciberras described Mr Joyce’s comments as “a shrewd move” that harks back to the turn of the millennium when airlines “took advantage of bargain-basement prices for planes” brought on by a slump in demand following the September 11 attacks.

“They were selling planes in a market where a lot of passengers were too freaked out to fly,” Sciberras said.

“Airlines including Ryanair took advantage, and Alan Joyce is looking to do something similar.

“By the time this [737 MAX] aircraft is rectified for flying, one can assume it will be a very safe plane,” Sciberras said.

“I think it’s a very smart move.”

30 Comments. This thread is closed....


Period24 Feb 2020

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